KODEX New and Renewable Energy Active ETF Delivers Strong Short- and Long-Term Returns

Amid expectations for growth in the eco-friendly energy industry, the 'KODEX New and Renewable Energy Active' ETF, which invests across the domestic renewable energy and eco-friendly industries, has achieved strong short- and long-term returns.

According to Samsung Asset Management on May 23, as of May 22, the KODEX New and Renewable Energy Active ETF recorded a one-month return of 24.45% and a three-year return of 86.21%. This is the highest return among the 61 domestic equity active ETFs.

Thanks to these high returns, investment inflows have also surged. Net assets reached KRW 99.8 billion, marking a 153.9% increase over the past month. On May 21, net assets surpassed KRW 100 billion, reaching KRW 108.4 billion.

Consistently outperforming its benchmark index has also contributed to the increase in net assets. Even during periods when the benchmark index, 'FnGuide K-New and Renewable Energy Plus,' posted negative returns?such as -2.82% for three months and -9.89% for one year?the KODEX New and Renewable Energy Active ETF delivered 9.46% over three months and 1.10% over one year. This demonstrates the competitiveness of active management, which allows for dynamic adjustment of investment stocks and weights. Samsung Active Asset Management is responsible for delegated management.

The KODEX New and Renewable Energy Active ETF invests not only in conventional renewable energy industries such as solar, wind, hydrogen energy, and secondary batteries, but also in all eco-friendly technologies and related industries that contribute to carbon reduction. Major portfolio companies include Doosan Enerbility (8.5%), SK Oceanplant (8.23%), Hanwha Solutions (8.11%), HD Hyundai Electric (7.56%), and CS Wind (7.24%). The total management fee is 0.5% per annum.

Globally, as power shortages intensify and investment in power infrastructure continues, these companies are expected to benefit. Recently, due to the artificial intelligence (AI) boom and manufacturing reshoring, power demand has increased significantly, especially in the United States. In Europe, as efforts to break away from Russian fossil fuels and achieve energy independence continue, investment in power infrastructure is also steadily rising. As a result, balanced growth is expected to continue across solar, wind, natural gas, nuclear power, and the entire power equipment sector.

Jung Jaeuk, Team Leader of the Asset Management Division 3 at Samsung Asset Management, stated, "We expect the eco-friendly energy industry, including natural gas and nuclear power, to continue growing as global investment in power infrastructure increases," and emphasized, "The KODEX New and Renewable Energy Active ETF has significantly outperformed its benchmark through proactive active management that adjusts portfolio stocks and sector weights according to market conditions."